TORONTO, ONTARIO--(Marketwire - April
20, 2009) - High River Gold Mines Ltd. ("High River" or the
"Company") (TSX:HRG) announced today that both credit
facilities with Standard Bank Plc ("Standard Bank") have been
assigned by Standard Bank to OAO Severstal ("Severstal"). Both
the credit agreement dated as of July 6, 2007 (the "High River
Facility") between Standard Bank, High River, High River Gold
Mines (West Africa) Ltd. and Jilbey Burkina SARL, as amended, and the
credit agreement dated as of April 19, 2007 (the "Somita
Facility") between Standard Bank, Societe des Mines de Taparko SA
(known as Somita) and High River, as amended, were assigned by Standard
Bank to Severstal as of April 17, 2009. Severstal is indirectly High
River's largest shareholder, holding approximately 53% of the issued
and outstanding common shares of High River.
As previously disclosed, both the High River Facility and the Somita
Facility are in default. Following the assignment to Severstal, such
facilities continue to be in default. The aggregate amount outstanding
under the two loans is approximately US$27 million.
High River also announced today that Steven Poad, the Chief Financial
Officer of High River, has been appointed to the Board of Directors on
an interim basis until the next annual meeting of shareholders of High
River.
About High River
High River is a gold company with interests in producing mines and
advanced exploration projects in Burkina Faso and Russia.
FORWARD LOOKING STATEMENTS
This release and subsequent oral statements made by and on behalf of
the Company may contain forward-looking statements. Wherever possible,
words such as "intends", "expects",
"scheduled", "estimates", "anticipates",
"believes", and similar expressions or statements that
certain actions, events or results "may", "could",
"would", "might" or "will" be taken,
occur or be achieved, have been used to identify these forward-looking
statements. Although the forward-looking statements contained in this
release reflect management's current beliefs based upon information
currently available to management and based upon what management
believes to be reasonable assumptions, High River cannot be certain
that actual results will be consistent with these forward-looking
statements. A number of factors could cause events and achievements to
differ materially from the results expressed or implied in the
forward-looking statements. These factors should be considered
carefully and prospective investors should not place undue reliance on
the forward-looking statements. Forward-looking statements necessarily
involve significant known and unknown risks, assumptions and
uncertainties that may cause High River's actual results, event,
prospects and opportunities to differ materially from those expressed
or implied by such forward-looking statements. Although High River has
attempted to identify important risks and factors that could cause
actual actions, events or results to differ materially from those
described in forward-looking statements, there may be other factors and
risks that cause actions, events or results not to be anticipated,
estimated or intended. There can be no assurance that the
forward-looking statements will prove to be accurate, as actual results
and future events could differ materially from those anticipated in
such statements. Accordingly, prospective investors should not place
undue reliance on forward-looking statements. Any forward-looking
statements are made as of the date of this release, and High River
assumes no obligation to update or revise them to reflect new events or
circumstances, unless otherwise required by law.
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